Gold Prices Poised to Rise on Geopolitical Tensions and Fed Policy

The global gold price is expected to rise next week, according to Ibrahim Assuaibi, Director of PT Traze Andalan Futures. He predicts that the global gold price will be around US$4,493 per troy ounce next week.

Assuaibi attributes the potential increase in gold prices to the geopolitical situation in the Middle East, particularly the agreement between Iran and Oman to control the Strait of Hormuz. The ongoing war between Russia and Ukraine is also contributing to higher gold prices.

In addition, Assuaibi mentions that the Federal Reserve's interest rate policy will play a role in future gold price movements. He notes that if the U.S. employment data shows a 23,000-job decline, the Fed is likely to keep interest rates unchanged in September.